Prime Minister Narendra Modi on Friday inaugurated the IFSC Banking Unit (IBU) of Deutsche Bank AG at the Gujarat International Finance-Tec City (GIFT City) in Ahmedabad.
According to Deutsche Bank AG, the IBU will offer financial products across trade finance, fixed income and currencies in the initial phase.
The IBU will provide all approved international financing products to Deutsche Bank's clients in India and overseas, said a statement.
In addition, within the framework of extant guidelines, it will facilitate cash pooling and other deposit propositions for Indian and international clients.
"Deutsche Bank has been in Asia Pacific for 150 years and in India for 42 years, and our presence at Gift City only underscores our strong commitment to this country," said Alexander von zur Muehlen, CEO of Deutsche Bank, Asia Pacific and Member of the Management Board.
Deutsche Bank’s IBU will also facilitate external commercial borrowing (ECB) financing for its prime customers, offer products such as factoring and bank guarantees, all of which is expected to help global clients increase efficiencies across their supply chain and reduce their financing costs.
Additionally, the securities services proposition will provide support to all asset classes, from equities, to fixed income, commodities and derivatives, and further help grow investment flows.
For the micro, small and medium enterprises (MSMEs), Deutsche Bank proposes to offer trade finance solutions that will enable them to expand beyond borders, the official statement said.
Cross-border financial services
"With the rising number of multinational corporations in India, we will witness an increase in the demand for cross-border banking services from hedging to financing. Our IBU will help us bridge this gap for our clients, opening new avenues of growth for them," said Kaushik Shaparia, Chief Executive Officer, Deutsche Bank Group, India.
The GIFT City IBU will enable the bank to provide liquidity in INR on a 24x7 basis to international investors and overseas corporates with exposures in India.